3. 3
Company Overview
Business Segments Geographic Footprint
Gross Revenue by Business Segment (2017)
1 In December 2017
Business segments Highlights
Lab-to-Lab: performs clinical analysis tests for other laboratories and
hospitals, serving over 5,700 clients nationwide
PSC: 122 stores (patient service centers) in Minas Gerais, Goiás, São
Paulo, and Rio de Janeiro, offering clinical analysis, imaging tests,
vaccines, check-ups and others
+1,900 cities covered
Central Lab – Vespasiano (NTO)
122 PSC (1)
31
6
Progenetica and Diagnóstika
Regional Labs (NTAs)
Lab-to-Lab Presence
74
#
Total volume of tests (2017)
5,745 clients
PSC: Regional leadership PSC: Gross revenue per type of test (2017)
Leadership Position in the metropolitan
region of Belo Horizonte (MG)
~50% Market Share in the metropolitan
region of Goiânia (GO)
Lab-to-Lab: 64.6 million (+17.1% YoY)
PSC: 21.9 million (+10.7% YoY)
11
4. 4
Hermes Pardini Track Record
Hermes Pardini Track Record
1959-2001:
Foundation and Creation of New
Segments
2007-2011:
Professionalization
As of 2011:
Accelerated Growth Strategy
Beginning of
diagnostics
operations
Launch of
imaging and
anatomic
pathology
services
Launch of Lab-
to-Lab
services
Creation of the
human
genetics
department
Launch of
vaccine
services
Professionalization
of management and
10-yr strategic plan
definition
Implementation
of Corporate
Governance
Business segmentation into Lab-to-Lab and PSC
Lab-to-Lab: Specialization and market share expansion, organically
and through M&A
PSC: Build national presence organically and through M&A
Inauguration of
NTO to support
Lab-to-Lab
expansion
Entry of Gávea
Investimentos to
support M&A strategy
and further
professionalization
Lab-to-Lab and
PSC M&A
strategy
Lab-to-Lab and
PSC M&A
strategy:
M&A streategy
Acquisition of CMNG
Launch of
Hermes
Pardini
brand in SP
Rio de Janeiro
2007 2010 2011 2012 2013 2016 20171959 1994 1997 1998 2001
IPO
PSC M&A
stretegy:
2018
Enterprise
Project
5. 5
Brands
PSC brandsLab-to-Lab Brands
• Reference in oncogenetics with a 17-year track
record, located in Rio de Janeiro. Specialized test
portfolio as key rationale for the acquisition by
Hermes Pardini. Among 1st labs to implement high
complexity molecular testing
Strategy: Product portfolio diversification through complementary
specialized tests and market share expansion
Strategy: Build national presence organically
and through M&A
• Largest laboratory in Minas Gerais, with a well
recognized brand and a diversified portfolio. Has 58
years of experience
• Largest lab in Goiás with 31 years of experience and
31 centers. Portfolio includes clinical analysis,
imaging and vaccines. Acquired in 2013.
• Acquired in December 2016 as an opportunity to increase
market share in Rio de Janeiro. It has 9 centers. Reference
in multi-specialty imaging tests with 46 years of experience.
• Reference in cardiology imaging exams, it has almost
30 years of experience and 3 units. Acquired in
December, 2017.
• Acquired in December, 2017, Humberto Abrão is a
diagnostic laboratory in the city of Belo Horizonte,
and has been operating for almost 40 years, been a
reference in clinical analysis segment.
• Reference in anatomic pathology, located in São
Paulo and Rio de Janeiro. Highly specialized medical
team, 32 years in the market with expertise in 19
segments of anatomic pathology
• Reference in Lab-to-Lab segment with 20 years of
experience. National presence with over 5,500 clients
• Acquired in March, 2017, Labfar develops activities
related to toxicological exams with high degree of
specialization, focusing on tests of detection of drug
abuse.
6. 6
Management Team
Executives Position
Years at Hermes
Pardini
Previous Experience and Education
Camilo de Lelis CFO / IR 8
• Prior to joining Hermes Pardini, Mr. de Lelis worked in the mine and
automotive industries with London & Scandinavian Metallurgical and Fiat
(Brazil , Mexico and USA)
• Bachelor in Accounting Sciences from Universidade Newton Paiva.
Graduate degree from UNA and MBA from Harvard-UDEM
Dr. Roberto Santoro CEO 15
• Prior to becoming CEO, Dr. Santoro was Hermes Pardini’s Medical
Diagnostics Director
• Undergraduate and graduate medical degree from UFMG. Executive
MBA at Fundação Dom Cabral and post-MBA at Kellogg
Alessandro Ferreira
Commercial
Officer
20
• Prior to joining Hermes Pardini, Mr. Ferreira was a biotechnology and
biochemical professor at the post-graduate level
• Bachelor in Biochemical Pharmacy at UFMG. Master and doctorate
degree from UFMG and MBA degree from IBMEC
Dr. Guilherme Collares
Operations
Officer
8
• Technical Director for 5 years at Lab Rede. Previous Emergency
coordinator at UFMG Hospital das Clínicas and president of the Clinical
Pathology Dep. (MG)
• Medicine undergraduate and master degrees from UFMG. Executive
MBA from FGV
Adriana Linhares
Business
Officer
19
• Prior to becoming Business Director, Adriana Linhares was Hermes
Pardini’s PSC Corporate Manager
• Bachelor in Biochemical Pharmacy from UFMG. Graduate degree in
Clinical Analysis from UFMG and executive MBA degree from IBMEC
7. 7
Consistent Gross Revenue Growth
Note: ¹ includes eliminations.
Gross Revenue and Gross Margin - Consolidated¹
Lab-to-Lab: Gross Revenue and Gross Margin PSC: Gross Revenue and Gross Margin
Acquisitions
Gross Margin
Gross Margin
# of tests (MM)
Average ticket
(R$)
R$mm
# of tests (MM)
Average ticket
(R$)
Gross Margin
# of tests (MM)
Average ticket (R$)
34.3% 34.3%
13.59 13.33
54.8 72.8
13.94
59.2
32.7%
37.5%
38.0
11.23
41.7
11.35
55.2
10.50
38.7% 37.5% 30.5%
17.6
18.77
18.9
19.54
19.8
20.43
28.5% 25.4%
14.45
83.7
33.0%
64.6
10.26
37.8% 27.1%
21.9
25.57
8. 8
Evolution of Profitability Levels
Adjusted EBITDA and margin
R$mm
Net income and margin
25.3% 24.1% 22.2% 12.1% 10.9% 11.5%22.1% 11.6%
9. 9
Low Leverage with Superior Returns
Net Debt and Net Debt / EBITDA – annual evolution
R$mm
ROIC (without goodwill)
ROIC (with goodwill)Net Debt and Net Debt / EBITDA – 4Q17 x 3Q17
-26.5% -26.6% 31.6%
0.23x 0.51x
50.9%
11. 11
Organic growth opportunities
Centralized production with efficient logistics
PSC: High Reliability and Operational Excellence
Focus on R&D: High Specialization and Development of New Tests
Experience in M&A activities
Lab-to-Lab: Unique Value Proposition
Competitive advantages
2
3
4
5
1
6
KeyDifferentiatingAttributesGrowthAvenues
12. 12
Centralized production with efficient logistics1
Centralized production... …supported by regional sites (NTA) and an efficient logistics network:
Central Lab: NTO Vespasiano
4 supporting regional sites (NTAs)
Central Laboratory (NTO)
2 supporting specialized sites (NTAs)
5.700+ Lab-to-Lab Clients
122 Pardini PSCs
Central Lab
NTO
São Paulo
Onco-
genetics
Goiânia
RH
RH
RH
RH
RH
RH
Belo
Horizonte
Pathol.
Anatomy
Rio de
Janeiro
13. 13
Lab-to-Lab: Unique Value Proposition2
Competitive Cost
Structure
R&D and Broad
Test Menu
Reliability of Results
Lab-to-Lab
Medical Support
Fast Turnaround Time
IT Integration
14. 14
PSC: High Reliability and Operational Excellence3
Medical excellence, broad portfolio and expertise with customer care increases the value perceived by patients
and physicians, while operating excellence allows Hermes Pardini to offer competitive prices for HMOs
+ Operating ExcellenceHigh Value Perceived by Patients and Physicians
Real time
monitoring of
KPIs
Competitive Cost Structure
Expertise in Cross-Selling
Real-Time Operations Monitoring
1
2
3
Excellence in Patient Care
Brand Recall and Reliability of Results
One-Stop-Shop
1
2
3
One-Stop-Shop Real-Time MonitoringOne-Stop-Shop Real-Time Monitoring
Clinical Analysis
Imaging Tests
Vaccines
Nutrition
Check-ups
OTC Wellness
Products
Precision Medicine
15. 15
Focus on R&D: High Specialization and
Development of New Tests
4
(1) Source: Folha de São Paulo
Hermes Pardini’s R&D excellence allows for a leading positioning in development of exclusive tests
New Test Development Research Production and Quality Recognition
• Zika Virus case study: 1st lab in Brazil to develop in-
house methodology for viral detection
• Zika virus test was only offered by laboratories outside
Brazil with an avg. cost of R$1,000 and 50 days of
turnaround time
• Hermes Pardini developed this test in-house and was
able to reduce patient cost by 50% and the turnaround
time to only 1 week
• R&D department developed 94 projects throughout the
year, with 32 new testes and R$ 4.4 million positive
impact on gross revenue
1st Place in Personalized
Medical Research
3 nominations
2 oral presentations
Quality Certificates
American
Association of
Clinical Chemistry
16. 16
+
Expansion Strategy:
• Strengthen presence in southeast region and expand to key
metropolitan cities in the south and northeast
• Increase bargaining power with payers
• Continue to focus on higher return clinical analysis with
imaging as a support
• Cross-selling leverage
New PSCs will be offered in a one-stop-shop format: units with
~1,500m², broad menu of clinical analysis and imaging tests,
vaccines, check-ups and anatomic pathology
PSCs per Region1
5 Organic Growth Opportunities
(1) December 2017, including the stores acquired through Guanabara laboratory, in Rio de Janeiro and Ecoar and Humberto Abrão, in Minas Gerais
New Labs in
Existing
Routes
Increase
Share of
Wallet in
Client Labs
Lab Portfolio
Expansion
and %
Outsourced
New Labs in
New Routes
1
2
3
4
Lab-to-Lab Strategy
Long Term Growth Strategy:
Further develop relationships in Pharma
Increase volume of toxicology tests
Expand telemedicine
Focus on precision medicine
Short Term Growth Strategy:
Multiple avenues for organic value creation
PSC Strategy
17. 17
Experience in M&A activities
6 Experience in M&A activities
December 2016
• Strengthen penetration in Rio de
Janeiro
• Complete portfolio of tests (mainly
nuclear medicine and radiology)
July 2013
July 2013
December 2012
December 2012
October 2012
• Acquisition of clinical analysis market
leader in Mid-West region
• Increase in specialized anatomic
pathologic tests’ production capacity
• Renowned medical team
• Acquisition of national paternity test
leader, strengthening biotechnology
portfolio
• Opportunity to acquire local authority
portfolio
• Entry in São Paulo diagnostics market,
largest national market
• Focused on imaging tests. Opportunity to
expand in clinical analysis and vaccines
• Opportunity to use its lab as a NTA for Lab-
to-Lab clients in São Paulo
• Acquisition of Pregenetica’s genetics and
personalized medicine know-how
• Specialized on high complexity molecular
tests
Revenue and Margin Expansion Business Diversification
December 2017
• Expansion in the city of Belo Horizonte,
especially in the premium segment.
December 2017
• Acquisition of imaging tests reference in
the metropolitan region of Belo
Horizonte.
March 2018
• Strengthen company’s portfolio of
specialized exams.
19. 19
Operating Highlights for 1Q18
8 new projects by the R&D
team
• The month of March again saw a record number of tests with a total volume of over 8.5
million diagnostic tests;
• Our R&D team concluded 8 project rollouts in 1Q18, of which 4 related to developing new
types of exam and 3 to insourcing exams that had previously been outsourced;
• We concluded the process of acquiring 51% of Labfar shares, one of the few companies in
Brazil qualified to process toxicological tests with a wide range detection window.
Record of number of tests in
March
Conclusion of the acquisition
of 51% of Labfar
20. 20
Operating Highlights for 1Q18
• The Hermes Pardini brand's Net Promoter Score (NPS) in Minas Gerais (MG) remained
stable at 74 in 1Q18, in line with previous periods' numbers. Its São Paulo NPS reached 73 in
Feb/18 and showed strong year-over-year growth, reflecting several initiatives executed to
strengthen the operation;
• We opened a new large-scale unit in Rio de Janeiro (Nova Iguaçu) in May/18 as well as two
small units in Minas Gerais (Lagoa Santa and Sete Lagoas) in April/18;
• We added more self-service totems at several units in Minas Gerais as part of Pardini
Group's technological innovation.
NPS: 74 in March 2018 in
the state of Minas Gerais
Inauguration of new units Self-service totems
expansion in Minas Gerais
21. 21
1Q18 Highlights: Lab-to-Lab segment
• Consistent growth in volume of tests (+10.6%). Stability in revenue per client (+1.2%);
• Commercial strategy focused on the increase of the client base: 5,151 clients
generated revenues during the 1Q18 (+6.3% YoY);
• Expertise on client relationship and high quality of services has resulted in the
improvement of Same Lab Sales indicator (+7.4%).
22. 22
1Q18 Highlights: PSC segment
• Acquisition of Ecoar and Humberto Abrão, in Minas Gerais, has contributed to the increase in
number of tests (+10.6%).
• The decrease in gross revenue per m2 (-7.0%) is related to the decrease in revenue from
imaging tests in Rio de Janeiro, opening of new units in São Paulo (1), Rio de Janeiro (1) and
Minas Gerais (2) and acquisition of Ecoar and Humberto Abrão;
• Same store sales (SSS) of 1.0%. Excluding the Guanabara effect, SSS would be
approximately 4.6%;
• NPS (Net Promoter Score) for Hermes Pardini reached 74% during 1Q18;
23. 23
Consolidated Gross Revenues
• Pronounce increase in gross revenue in both business units;
• Eliminations shown in the above table are mainly intercompany transactions which are
excluded for calculating gross book revenues.
R$ MM 1Q17 1Q18 Variation
Lab-to-Lab 152.5 164.0 7.5%
PSC 140.5 152.1 8.2%
Eliminations -4.0 0.6 -114.1%
Consolidated 289.1 316.6 9.5%
24. 24
Gross Revenues of the Lab-to-Lab segment
• The increase in Gross Revenue (+7.5%) was due mainly to higher number of tests
(+10.6%) and number of clients which generated revenue in the period (+6.3%);
• Expertise on client relationship and high quality of services has resulted in the
improvement of Same Lab Sales indicator, which grew by 7.4%.
25. 25
Gross Revenues of the PSC segment
• Acquisition of Ecoar and Humberto Abrão, in Minas Gerais, has contributed to the
increase in number of tests (+10.6%) and in gross revenues from the PSC segment
(+8.2%);
• Imaging tests represented circa 44% of gross revenues from the PSC segment;
• Gross revenues, in terms of same store sales, grew by 1.0%. Excluding the effects of the
decrease in gross revenue in Rio de Janeiro, the Same Store Sales indicator for 1Q18
would be approximately 4.6%.
26. 26
Deductions from Gross Revenues and Net Revenues
• Total deductions represented 7.8% of gross revenues in 1Q18 and 7.5% in 1Q17.
R$ MM 1Q17 1Q18 Variation
Disallowances -3.3 -3.4 2.1%
Cancelled Sales and Other Rebates -1.1 -1.6 44.8%
Taxes on Services -17.2 -19.6 14.3%
Cancellations and Deductions (R$ MM) -21.6 -24.6 14.0%
27. 27
Gross Profit and Gross Margin
• In the Lab-to-Lab segment, the decrease in gross margin observed in 1Q18 is a
consequence of the decrease in the segment’s average ticket and in increase in the
Company’s structure of costs to support the expansion of its operations.
• In the PSC segment, the decrease in gross margin is mainly due to the decrease of gross
revenue in Rio de Janeiro, whose revenue mix primarily comprises imaging tests, and
thus has a greater operating leverage.
28. 28
Operating Expenses (Selling, Administrative and Other)
• The nominal increase in Selling Expenses can be explained by the following reasons:
• Increase of R$ 0.7 million in Advertising expenses in Minas Gerais to strengthen Hermes
Pardini brand in the region;
• Increase of R$ 0.5 million associated to the recognition of the expenses from New
Companies, acquired by the end of 2017;
• Higher Sales Commission of R$ 0.5 million when compared to 1Q17;
• Sales expenses from the Guanabara operation (RJ) were reduced in 1Q17 due to
reversions and accounting conciliations related to the acquisition process;
• General and Administrative Expenses: variation occurred mainly as a result of incorporation
of figures from Ecoar and Humberto Abrão (R$1.1 million).
Variation of major Operating Expenses
R$ MM
% Net
Revenue
R$ MM
% Net
Revenue
Selling Expenses 14.1 5.3% 20.2 6.9%
General and Administrative Expenses 20.0 7.5% 21.3 7.3%
Other Operating Income / Expenses 3.83 1.4% 0.8 0.3%
Total Operating Expenses 38.0 14.2% 42.3 14.5%
Operating Expenses
1Q17 1Q18
29. 29
Financial result
• Net Financial Result has been impacted by the lower cash balance in 1Q18 (-R$218.4MM in
comparison with 1Q18) and also by lower interest rates observed over the last months.
R$ MM 1Q17 1Q18 Variation
Net Finance Result -4.5 -5.0 11.1%
Finance Income 5.1 2.9 -43.9%
Finance Costs -9.9 -7.7 -22.4%
Foreign Exchange Variation 0.3 -0.2 -147.0%
30. 30
Income tax / social contribution
• The decrease observed in the effective Income and Social Contribution tax rate when we
compare 1Q18 to 1Q17 is mainly due to the use of income and social contribution tax
credits from previous years arising from expenses incurred in previous years.
R$ MM 1Q17 1Q18 Variation
Earnings Before Taxes (EBT) 47.2 41.0 -13.0%
Expected taxes (standard rate of 34%) -16.0 -14.0 -13.0%
Effect on the results of subsidiaries taxed under the
presumed profit method
0.8 0.6 -30.8%
Income Tax and Social Contribution from previews years -0.9 1.4 -257.4%
Other exclusions (additions), net 0.2 0.6 208.4%
Income tax and social contribution -15.9 -11.5 -27.8%
% EBT -33.7% -27.9% +574 bps
Current -16.5 -10.8 -34.7%
Deferred 0.6 -0.7 -214.1%
31. 31
Net Income and Adjusted EBITDA
R$ MM 1Q17 1Q18 Variation
Adjusted EBITDA 64.4 59.8 -7.2%
margin 24.1% 20.5% -362 bps
32. 32
Trade Receivables
• Our receivables portfolio is at an extremely healthy level:
• 85.0% of receivables are in order.
• we have set up a provision for all receivables overdue for more than 120 days.
R$ MM 1Q17 2Q17 3Q17 4Q17 1Q18
Trade Receivables 229.6 243.4 252.1 244.0 264.9
Current 203.3 209.9 213.0 200.3 225.2
From 1 to 60 days past due 13.4 16.0 26.9 29.8 22.0
From 61 to 120 days past due 2.6 2.5 1.7 4.3 6.0
Over 120 days past due 8.9 10.5 6.1 5.1 6.7
Other amounts overdue 1.4 4.5 4.3 4.5 4.9
Allowance for doubtful accounts -10.2 -11.5 -6.1 -5.1 -6.9
Provision for loss on services provided and not yet billed -1.4 -4.5 -4.3 -4.5 -4.9
Disallowances 0.0 0.0 0.0 0.0 0.0
Total 218.1 227.4 241.7 234.4 253.1
Current / Trade Receivables 88.5% 86.2% 84.5% 82.1% 85.0%
Balance overdue until 120 days / Trade Receivables 7.0% 7.6% 11.4% 14.0% 10.6%
Provisions / Balance overdue for more than 121 days 113.7% 110.0% 100.0% 100.0% 103.6%
Net Revenue 267.4 286.4 290.5 272.7 291.9
Days of Sales Outstanding 73.4 71.4 74.9 77.4 78.0
33. 33
Debt
• In 1Q18, we showed a net debt of R$115.1 MM;
• Healthy capital structure (net debt / EBITDA LTM of 0.5x).
Net debt and Covenants
R$ MM 1Q17 1Q18 Variation
Gross Debt (Borrowings) 302.4 259.8 -14.1%
Cash and Cash Equivalents 363.1 144.8 -60.1%
Net Debt -60.7 115.1 -289.6%
Net Debt / EBITDA LTM -0.3x 0.5x -264.8%
EBITDA LTM / Financial Result LTM -21.6 12.5 -158.1%
34. 34
Cash Flow
• Net cash flow from operations amounted to R$15.8 million in 1Q18.
R$ Thousand 1Q17 1Q18 Variation
Profit for the period 31.3 29.6 -5.4%
Itens not affecting cash 37.3 31.6 -15.3%
∆ Working Capital: -32.4 -33.1 2.0%
Receivables -19.8 -20.5 3.5%
Trade Payables -1.0 -0.8 -19.3%
Salaries / Charges -13.2 -13.3 1.2%
Other Assets and Liabilities 1.6 1.6 -1.1%
Income tax and Social Contribution and Other Payments -27.3 -12.3 -55.1%
Operating Cash Flow 8.8 15.8 79.4%
Investing Activities: -10.8 -14.3 32.0%
Acquisition of Minorities Stakes 0.0 0.0 n.m
CAPEX -10.8 -14.3 32.0%
Other investing activities 0.0 0.0 n.m
Financing Activities: 240.7 -16.7 -106.9%
Dividends -67.4 0.0 -100.0%
Other financing activities 308.1 -16.7 -105.4%
Cash Flow 238.7 -15.1 -106.3%
Conversion (operating cash flow/EBITDA) 384.7% -26% -106.7%
35. 35
CAPEX and ROIC
ROIC LTM without
goodwill
CAPEX (R$ MM)
• Most investments made during 1Q18 are related to improvements in existing units in the
states of Minas Gerais, Goiás, São Paulo and Rio de Janeiro and (ii) the expansion of the
NTO’s production capacity.
• ROIC LTM without goodwill of 30.8% in 1Q18.
36. 36
Dividends and Interest on Own Capital
• Dividends: on April 24th, the Ordinary Shareholders Meeting approved the distribution of
dividends related to the 2017 fiscal year, totaling R$ 4,240,563.26, corresponding to R$
0.03242359189 per share;
• Interest on Own Capital: on May 7th, the Board of Directors approved the payment of
Interest on Own Capital in the gross amount of R$ 9,313,264.45, related to the 1st quarter of
2018;
• In both cases, payment to shareholders should happen until May 30th, 2018.
38. 38
Enterprise Project Objectives
Develop the world’s largest automated laboratory platform
Implement changes in the production model, to increase operational efficiency and the
quality of tests:
• Update the technological platform with higher degree of process automation
• Increase NTO’s (Central Lab) production capacity
• Higher level of control and predictability of material consumption per test
• Production time reduction
• Replicate NTO methodologies in the NTAs – Advanced Technical Centers – located in
the cities of Belo Horizonte, Goiânia, São Paulo and Rio de Janeiro
• Continue to ensure reliable and high quality results
Renegotiate the existing commercial conditions in the agreements with the key
suppliers of laboratory technology:
• Reduction of operating costs
• Detached payment for inputs, equipment and services
Enable the digitalization of the relationship with Lab-to-Lab clients:
• New value proposition for clients in this segment
39. 39
1
Planning steps
2
3
4
5
6
7
Description
Enterprise Project Planning
Demand analysis and specifications review
• Analysis of the current specifications
• Identifying opportunities for cost reduction
• Baseline definition
Understanding the needs and the current
situation
• Collection of information on current situation and technical needs
• Definition of broad criteria for suppliers selections
RFP (Request for Proposal) launch
• Suppliers information request through RFI
• Selection of suppliers for the competitive process
Negotiation with suppliers
• Specifications’ conception and redesign
• Definition of price range expectations
• Elaboration and launch of RFP
Results’ validation and approval • Results presentation
• Winning bid confirmation
RFI (Request for Information) launch and
suppliers’ market analysis
Project Execution
• Analysis of proposals and definition of finalist suppliers
• Negotiation
• Change plan confirmation
• Facilities refurbishment planning
• Tests validation
• Go live
40. 40
Technological Innovations Business Model Innovations
Key results from Enterprise Project
• World´s largest automated laboratory platform,
according to Siemens
• Increase in the level of plant automation:
• We will be able to process 82% of the results
of clinical analysis tests in up to 6 hours
• Pre-analytical phase (samples´ separation)
will be performed in up to 1 hour
• Greater safety for customers, with less
human interference and risk of damages
• Implementation of cutting-edge technologies:
• Siemens Atellica platform and other
complementary supplier machines
• Installation of a high-speed conveyor belt with
more than 300 meters long
• Reduction in water and electricity
consumption in the production process
• Automated storage cabinets
• Greater control of the production process
• Control Room will allow monitoring remote
operations
• Simplifying the billing process:
• Siemens should set up a subsidiary within the
NTO in Vespasiano, and will be in charge of
controlling the inventory of inputs and
equipments
• Just-in-Time supply:
• Inventory management will be carried out
directly by Siemens in a Just-in-Time material
replacement model
• Suppliers´ remuneration format
• Detached payment for inputs, equipment and
services
• New input payment model, more aligned with
Pardini's interests
• Lab-to-Lab client digitalization:
• New value proposition for the segment
• Centralized platform will allow customers to
solve the technical, financial and
administrative demands
41. 41
Enterprise Project
Reduction in cost of reagents Reduction ~10% reduction > 10%
Topic Initial Expectation Outcome from Negotiation
New supplier payment format,
according to the number of reported
tests
N/A Supplier will be in charge of process inefficiencies
Others N/A
- Reduction in logistics costs, due to reduction in the number of test
tubes;
- Reduction of water, energy and compressed air consumption;
- Others
Inventory reduction N/A
~ 50% reduction in reagents inventories, as suppliers will be in charge of
inventory management
Suppliers Payables N/A
Extension in the payment tenor conditions, when compared to existing
agreements
IncomeStatementBalanceSheet
42. 42
Disclaimer and IR Contacts
This presentation contains certain forward-looking statements concerning the business prospects, projections of
operating and financial results and growth potential of the Company, which are based on management’s current
expectations and estimates of the future performance of the Company. Although the Company believes such
forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations
will be achieved. Expectations and estimates that are based on the future prospects of the Company are highly
dependent upon market behavior, Brazil’s political and economic situation, existing and future regulations of the
industry and international markets and, therefore, are subject to changes outside the Company’s and
management’s control. The Company undertakes no obligation to update any information contained herein or to
revise any forward-looking statement as a result of new information, future events or other information.
Disclaimer
e-mail: ri@grupopardini.com.br
site: www.grupopardini.com.br/ri
Phone: +55 (31) 3629-4503
Contact: Investor Relations
